The Apple Watch, on average, sells for $529 inclusive of accessories. This number is actually at the high end of Wall Street estimates, according to the findings by the research firm Wristly (via Reuters).
Findings positive for Apple
Wristly surveyed more than 2,200 Apple Watch owners, and most of them pegged the average selling price between $425 and $550. Wall Street analysts are still in the dark when it comes to the watch, as Apple has not yet revealed the sales figures for the gadget. But the survey from Wristly suggests that some investors might have underestimated the profitability of the watch. Initially, many analysts estimate the watch to have hit an average selling price of over $500, but in July, many dropped the number to around $450.
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“At this point it’s not moving the needle, but it could have a slightly positive impact in fiscal year 2016 as sales start to ramp up,” Analyst Daniel Ives of FBR Capital Markets said about Wristly’s findings.
The Apple Watch is the latest product from the iPhone maker, and investors are constantly monitoring its performance to figure out if it can be a new source of growth for the company that offers several products but is highly dependent on just one – the iPhone. The watch is available in the vast price range of $350 for the Sport model to $17,000 for the solid gold designs, thus making it difficult for analysts to gauge its profitability.
Men spent more on the watch
Since March, shortly before the gadget hit the stores, Wristly has been inviting watch owners to participate in a regular survey. Responses on the model, size and number of bands purchased have been used to calculate the average selling price. The firm excluded the responses of watch buyers who bought it in the first eight weeks, realizing that they spent more than later buyers.
Most women preferred to buy the less expensive smaller size watch, hence the amount spent by them on the watch is $30 less than the amount spent by men, the survey revealed. The bill amount goes up considerably when buyers opt to purchase accessories as well. In August, 40% of customers bought a spare band.
Wristly’s survey has few caveats as well. Only buyers in North America, Europe and Oceania are reflected in the results, and the panel skews to the wealthy.